NOW THAT’S A GOOD IDEA…
OUT THE BOX CONSUMER TO MANUFACTURER PURCHASING
IS ‘CONSUMER-TOMANUFACTURER’ THE NEXT BIG THING? NEW APPS ARE GIVING SHOPPERS THE POWER TO GROUP TOGETHER TO BUY DIRECT FROM MANUFACTURERS AND SECURE REDUCED PRICING. SO, IS C2M COMING TO THE UK?
WHAT’S THE BIG IDEA?
HOW DOES IT WORK?
C2M
New apps such as Pinduoduo and Biyao are giving consumers the power to buy direct from the manufacturer and drive down prices. Users have the option to buy an item for its RSP immediately or to team up with others to get a significantly discounted price.
WHICH MEANS...? Consumer-to-manufacturer.
NOT MANUFACTURER TO CONSUMER? Nope. The general idea is that new apps are giving shoppers the power to group together to secure reduced pricing when the buy direct from manufacturers.
IS IT COMING TO THE UK?
IS IT ALREADY A THING?
ParcelHero seems to think so. It says C2M apps “will take Brits by storm. The company’s Head of Consumer Research, David Jinks, says C2M originated in China where it is growing at over 24% a year.
Not in the UK. But C2M is already set to be a £4.33bn market globally by the end of next year, according to delivery firm ParcelHero.
SO RETAILERS WOULD BE CUT OUT OF THE SUPPLY CHAIN?
“Users have the option to buy an item for its RSP immediately or to team up with others to get a significantly discounted price.”
26 I SLRMAG.CO.UK / ISSUE 48 / WEDNESDAY 24TH MARCH 2021
In a word, yes. Jinks is worried that it’s another major challenge for retail. While C2M is a win-win for manufacturers and shoppers, it’s another problem that retailers could do without. Big data from C2M sites also gives manufacturers a clearer idea about the demand for their products. For consumers, the option to shop as a team slashes prices.
HOW MUCH CAN CONSUMERS SAVE? At the moment, China’s Pinduoduo app enables shoppers to secure savings from a typical 20% reduction up to 50% off or more.
